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The New Regionalism: Causes and Consequences

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Author Info

  • Scott L. Baier
  • Jeffrey H. Bergstrand
  • Peter Egger

Abstract

We address three themes on the New Regionalism. First, the prominent analogy to a “spaghetti bowl” of economic integration agreements (EIAs) should be replaced by reference to a « market » for EIAs. We suggest a systematic economic framework for analyzing « competitive liberalization » of governments in a static, long-run context. Second, we address why ex post measurements of the average (treatment) effects of EIAs on trade seem so « small ». Third, after addressing evidence for long-run determinants of competitive liberalization, we discuss how one might conceptualize the process by which governments select into EIAs over time, that is, the growth of regionalism.

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Bibliographic Info

Article provided by CEPII research center in its journal Economie Internationale.

Volume (Year): (2007)
Issue (Month): 109 ()
Pages: 9-29

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Handle: RePEc:cii:cepiei:2007-1ta

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Related research

Keywords: Trade; gravity equation; Free Trade Agreements; international trade; gravity model; international trade models and databases;

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Cited by:
  1. Chen, Maggie Xiaoyang & Joshi, Sumit, 2010. "Third-country effects on the formation of free trade agreements," Journal of International Economics, Elsevier, vol. 82(2), pages 238-248, November.
  2. Richard Baldwin & Dany Jaimovich, 2009. "Are Free Trade Agreements Contagious?," Global COE Hi-Stat Discussion Paper Series gd09-057, Institute of Economic Research, Hitotsubashi University.

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